Posts Tagged ‘stock IPO’

Facebook Doesn’t Get $1B From Non-US Investors Without Making A Few Enemies

January 22, 2011

NEW YORK — Facebook said Friday it has raised $1 billion from non-U.S. investors, which combined with an infusion from Goldman Sachs and Russia’s Digital Sky Technologies in December, brings the haul from its latest round of funding to $1.5 billion.

The investments value the social networking site at $50 billion, more than the current market values of Yahoo Inc. or eBay Inc., but below those of Inc. and Google Inc.Facebook did not say Friday how it plans to spend the $1.5 billion.

Earlier this week, Goldman said it was barring U.S. investors from taking part in the Facebook offering, citing widespread media coverage that could have violated securities guidelines that govern private placements.

As anticipated, Facebook also said it will start filing public financial reports by April 30, 2012. While that doesn’t technically mean an initial public stock offering, that is the most likely outcome because Facebook will have to make many of the same disclosures of a publicly traded company anyway.

You don’t get 1 billion dollars without making a few enemies.